Re: National Sales Tax - have the proponents thougbt of this?


"Marcello" <Marcello@xxxxxxxxxx> wrote
I am pretty sure even the proponents of the NST are not suggesting that
somehow the NST will be collecting taxed on illegal drugs. It is more
likely the implied new taxes from the underground economy is on the
purchase of clothes, electronics, cars, etc which although I am not a
backer of the NST I can see where that would be collecting taxes from the
underground economy where currently taxes are not being collected. I
think the bigger issue is that even with these collected taxes, the burden
of the taxes still shift to the lower incomes.



I would think that the drug dealer, at some level, is not buying flat screen
TV's from Best Buy. More likely though, someone steals a TV, and trades it
to the dealer for drugs.





This is an interesting point that I have not heard before. I would be
interested though in knowing the percentage of withholding gains from
illegals versus total collected taxes. I cant think it would be that big
of an impact. But again, unless the illegals spend little or no money in
the US (which is possible) then they will be paying tax with the NST as
well. The problem though is that it makes it FAR easier for illegals to
stay in this country undetected.



There is nothing in the most recent NRST bill that would change worker
documentation rules.





--
Paul Thomas, CPA
paulthomascpapc@xxxxxxxxxxxxx



.

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